DoD Awards $53.5M Engineering Services Contract to Science Applications International Corp
Contract Overview
Contract Amount: $53,503,073 ($53.5M)
Contractor: Science Applications International Corporation
Awarding Agency: Department of Defense
Start Date: 2014-11-17
End Date: 2018-04-30
Contract Duration: 1,260 days
Daily Burn Rate: $42.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: COST PLUS FIXED FEE
Sector: Defense
Official Description: SYSTEMS ENGINEERING SUPPORT IN THE FORM OF ARCHITECTURE, ANALYSIS, INTEROPERABILITY ASSESSMENTS, ENGINEERING, CONFIGURATION MANAGEMENT (CM) AND TECHNICAL MANAGEMENT SERVICES IGF::OT::IGF
Place of Performance
Location: RESTON, FAIRFAX County, VIRGINIA, 20190
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $53.5 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION for work described as: SYSTEMS ENGINEERING SUPPORT IN THE FORM OF ARCHITECTURE, ANALYSIS, INTEROPERABILITY ASSESSMENTS, ENGINEERING, CONFIGURATION MANAGEMENT (CM) AND TECHNICAL MANAGEMENT SERVICES IGF::OT::IGF Key points: 1. Contract awarded to a large, established defense contractor. 2. Services include architecture, analysis, and technical management. 3. Potential for cost overruns due to Cost Plus Fixed Fee structure. 4. Sector is Engineering Services, a critical area for defense operations.
Value Assessment
Rating: fair
The Cost Plus Fixed Fee contract type carries inherent risk of cost escalation. Without specific benchmarks for these specialized engineering services, it's difficult to definitively assess value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the Cost Plus Fixed Fee pricing structure may not always yield the most cost-effective outcome for taxpayers.
Taxpayer Impact: The use of a Cost Plus Fixed Fee contract could lead to higher costs for taxpayers if not managed closely.
Public Impact
Ensures critical engineering and technical support for Department of Defense systems. Supports national security by maintaining complex defense architectures and interoperability. Contract duration of over three years indicates ongoing need for these services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee pricing structure
- Potential for scope creep in engineering services
Positive Signals
- Awarded under full and open competition
- Experienced contractor with relevant expertise
Sector Analysis
This contract falls within the Engineering Services sector, which is vital for the Department of Defense's technological advancement and operational readiness. Spending in this sector is typically high due to the complexity and criticality of defense systems.
Small Business Impact
The data indicates this contract was not set aside for small businesses and was awarded to a large corporation, Science Applications International Corporation. There is no direct indication of small business subcontracting opportunities within this award notice.
Oversight & Accountability
The Department of Defense, through its various contracting and management agencies like the Defense Contract Management Agency, is responsible for overseeing this contract. Accountability relies on robust performance monitoring and financial oversight.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Defense Contract Management Agency Programs
Risk Flags
- Cost Plus Fixed Fee pricing model
- Potential for cost overruns
- Lack of specific performance metrics in award notice
- Contract duration extends over multiple fiscal years
Tags
engineering-services, department-of-defense, va, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $53.5 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION. SYSTEMS ENGINEERING SUPPORT IN THE FORM OF ARCHITECTURE, ANALYSIS, INTEROPERABILITY ASSESSMENTS, ENGINEERING, CONFIGURATION MANAGEMENT (CM) AND TECHNICAL MANAGEMENT SERVICES IGF::OT::IGF
Who is the contractor on this award?
The obligated recipient is SCIENCE APPLICATIONS INTERNATIONAL CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Contract Management Agency).
What is the total obligated amount?
The obligated amount is $53.5 million.
What is the period of performance?
Start: 2014-11-17. End: 2018-04-30.
What is the typical profit margin for Cost Plus Fixed Fee contracts in defense engineering services, and how does this contract's fee compare?
Profit margins for Cost Plus Fixed Fee (CPFF) contracts in defense engineering can vary but are often negotiated within a range. A typical fixed fee might be between 10-15% of the estimated cost. Without knowing the estimated cost and the negotiated fee for this specific contract, a direct comparison is impossible. However, CPFF contracts inherently allow for contractor profit on costs incurred, which can be a point of concern for cost control.
How effectively does the 'architecture, analysis, interoperability assessments' component contribute to overall defense system modernization and risk reduction?
These components are foundational to defense system modernization and risk reduction. Architecture ensures systems are designed coherently, analysis identifies potential flaws or inefficiencies, and interoperability assessments guarantee that different systems can communicate effectively. Strong performance in these areas directly contributes to reduced technical debt, enhanced operational capabilities, and mitigation of security vulnerabilities, ultimately lowering long-term program risks and costs.
What mechanisms are in place to ensure the 'technical management services' deliver value and prevent cost overruns under the CPFF structure?
Effective technical management under a CPFF structure relies on stringent oversight, clear performance metrics, and robust change control processes. The government contracting officer and technical representatives must actively monitor progress, validate incurred costs, and ensure the contractor adheres to the defined scope and objectives. Regular reviews, milestone tracking, and proactive risk management are crucial to ensuring value delivery and controlling costs.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: N0002414R3282
Offers Received: 3
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 12010 SUNSET HILLS RD, RESTON, VA, 20190
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $65,553,069
Exercised Options: $65,553,069
Current Obligation: $53,503,073
Subaward Activity
Number of Subawards: 75
Total Subaward Amount: $12,358,660
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N0017804D4119
IDV Type: IDC
Timeline
Start Date: 2014-11-17
Current End Date: 2018-04-30
Potential End Date: 2018-04-30 00:00:00
Last Modified: 2025-01-02
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